Six undervalued innovative drug concept stocks revealed, with institutions conducting concentrated research and margin traders focusing on increasing positions.

As of October 16, the total market value of concept stocks in the innovative drug sector exceeded 2.6 trillion yuan. In terms of market performance, since the second half of this year, the Wind Innovative Drug Concept Index has accumulated a gain of about 1%, outperforming the Shanghai Composite Index by more than 10 percentage points. At the individual stock level, nine concept stocks each posted cumulative gains of more than 20% since the second half of the year. Shanghai Model Organisms Center led the gains with a cumulative increase of more than 65% since the second half of the year, CanSino Biologics rose nearly 63% during the period, and Dizal Pharmaceutical-U gained more than 55% since the second half of the year. Looking further, only six innovative drug concept stocks underperformed the innovative drug index since the second half of the year while also receiving research visits from 25 or more institutions during the same period and seeing their margin financing balances as of October 15 increase by more than 3% compared with the end of June. In terms of institutional attention, Huadong Medicine received research visits from 165 institutions since the second half of the year, and its margin financing balance as of October 15 increased by nearly 8% compared with the end of June. Chipscreen Biosciences received research visits from nearly 90 institutions since the second half of the year, and its margin financing balance as of October 15 increased by more than 5% compared with the end of June. Sunshine Guojian Pharmaceutical received research visits from nearly 60 institutions since the second half of the year, and its margin financing balance as of October 15 increased by nearly 10% compared with the end of June. In terms of market performance, among the above six concept stocks, Huadong Medicine had the smallest decline, falling 5.38% since the second half of the year; next was Haisco, which fell nearly 14% since the second half of the year, while its margin financing balance as of October 15 increased by nearly 20% compared with the end of June, the largest increase among the six stocks.